Electra Battery Materials has signed a term sheet with Invest Ontario for C$17.5 million to help complete construction of its cobalt sulfate refinery in Temiskaming Shores. This investment is part of the total C$100 million cost to build the facility. Once finished, the refinery will be North America’s first plant dedicated exclusively to producing battery-grade cobalt sulfate.
The refinery is designed to produce about 6,500 tonnes of cobalt sulfate annually, enough to support the production of up to 1 million electric vehicles per year. Electra stressed the importance of sourcing cobalt sulfate domestically, in order to reduce dependence on foreign supply chains and improve energy and economic security.
In addition to the provincial funding, Electra is restructuring its finances: reducing convertible debt by roughly 60% and pursuing a C$30 million equity raise. The project has already received other non-provincial support, including federal and U.S. government contributions.
Electra’s CEO, Trent Mell, and Ontario’s Minister of Economic Development see this refinery as a key component in critical minerals processing within the province. The term sheet itself is not binding; final funding remains contingent on definitive documentation being finalized. Construction is expected to accelerate once financing and permitting are in place.